Study: Valencia College has $1B economic impact here

Valencia College's impact extends further than even some of its own administrators had realized — generating $1 billion a year for the Orange-Osceola economy, according to a new study.

It's the first time in Valencia's almost 45-year history it has commissioned such a study, which college leaders aim to use to drum up more support from local businesses and help lawmakers understand the school's significance as the state continues to scrutinize higher-education funding.

It's a business strategy that's becoming increasingly common among community colleges and state colleges such as Valencia, which started offering bachelor's degrees last year.

With repeated budget cuts and a national spotlight on college productivity, there's more pressure than ever for these institutions to prove their value, according to the American Association of Community Colleges. They don't often benefit from the same attention given to state universities with their research projects, major athletic teams and alumni activities.

"People want to back winners," said Valencia spokeswoman Lucy Boudet, adding that the new report "gives us a tremendous amount of ammunition."

The report is well-timed — arriving just months after the school won the prestigious national Aspen Prize for Community College Excellence.

One of the nation's largest colleges, Valencia has seen its enrollment grow in recent years. Today, about 70,000 are spread out among multiple campuses in Orange and Osceola counties. Many also take part in a special transfer program with the University of Central Florida and go on to complete bachelor's and graduate degrees at UCF.

That transfer program alone has lured thousands of out-of-town students to Central Florida since its launch in 2007.

The annual $1 billion impact Valencia is estimated to have on the region is based on a broad range of factors, including the $123 million the school brings in to fund its operations and $11 million the state avoids in "social costs" related to such things as public-assistance programs.

The bulk of the impact centers on higher income levels — better-educated people earning more money and generating more tax revenue, according to the $14,000 study conducted by the Idaho-based Economic Modeling Specialists Inc. Most Valencia grads stay in Orange and Osceola counties to live and work.

Some of Valencia's graduates do well with only a two-year degree because of their specialized training. Those with an associate in science degree or an associate in applied science degree earn, on average, an annual salary of about $43,385 in their first year after graduation, according to the college.

The college already is planning to make a presentation to Osceola County commissioners. College trustees are urging business and community leaders to invest in Valencia by seeking its interns, supporting the college's foundation and hiring graduates.

In 2010, Hillsborough Community College completed a similar study and found that it helped elevate the school's image within the business community.

It did not seem to improve state funding, though.

"This year, we didn't take the hits that others did but didn't reap any rewards either," said college spokeswoman Ashley Carl. "Our system as a whole needs to do a better job of selling our role in the economy better."

Jennifer Wakefield, spokeswoman for the Metro Orlando Economic Development Commission, isn't surprised at Valencia's strong impact on the Orlando area.

The study, she said, should convince people "what an enormous part" the college plays in the area's economy.